Fiscal Responsibility Act of 2023

The Fiscal Responsibility Act of 2023 is a federal law that suspended the nation’s debt limit through January 1, 2025, allowing the government to continue borrowing money to pay its existing legal obligations. To address long-term spending, the act established new caps on federal discretionary funding for two years and implemented a "pay-as-you-go" rule requiring executive agencies to offset the costs of new administrative actions.

For everyday citizens, the law introduced several practical changes, including the formal end of the pause on federal student loan interest and payments in late 2023. It also expanded work requirements for certain adults aged 50 to 54 receiving SNAP (food stamps) and modified requirements for the Temporary Assistance for Needy Families (TANF) program, while adding new exemptions for veterans and homeless individuals. Additionally, the act streamlined the environmental review process for energy and infrastructure projects to speed up construction and reclaimed billions of dollars in unspent COVID-19 relief funds.